Koufu’s subsidiary Super Tea (S) has entered a joint venture to expand the Supertea and R&B Tea brands into Indonesia, the food court operator said in a filing to SGX Thursday.
Pang Lim, Koufu’s executive chairman and CEO, pointed to a strong following for the Supertea and R&B brands in Singapore.
“Many Indonesian tourists had requested for us to bring the brand to Indonesia. We believe we are well-positioned to capitalise on the vast market potential in Indonesia, using it as a springboard for further expansion into the region,’ Pang said.
“With an initial focus on Jakarta’s Grade-A malls, we plan to progressively expand our footprint across Indonesia, which will establish a platform for us to also consider bringing our other food retail brands into the country,” he added.
The first Supertea outlet is expected to open in the next few months, Pang said.
Super Tea (S) will have a 54 percent interest in the joint venture, giving Koufu an effective 32.4 percent stake, while investment holding company A&O Assets and Chan Bee Kiew will hold 40 percent and 6 percent, respectively, the filing said.
The joint venture has an initial paid-up capital of S$1 million, the filing said.
Indonesia has around 106 million people in the brand’s target age group of 15 to 39 years old, while Jakarta has a population of more than 10 million, with more than 170 shopping malls, the filing said.
Koufu said expects to have a total of 30 Supertea and R&B outlets in Singapore by end-year, up from 17 R&B outlets and one Supertea outlet as of end-June.
The company also has R&B Tea and Supertea outlets in Macau, and is holding active talks to bring both brands into other markets, including Malaysia and the Philippines, the filing said.
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